Chipotle Mexican Grill Inc (CMG)

Quick ratio

		Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Cash	US$ in thousands	560,609	602,307	504,866	409,727	384,000	366,623	520,933	615,863	815,374	721,109	668,269	694,776	607,987	662,401	605,622	500,315	480,626	386,565	299,913	277,661
Short-term investments	US$ in thousands	1,469,680	1,703,400	1,702,280	1,305,720	1,030,270	417,278	240,684	240,379	260,945	301,534	322,460	363,585	343,616	342,819	301,041	380,978	400,156	428,796	417,867	457,363
Receivables	US$ in thousands	168,495	71,122	60,985	65,869	154,621	183,340	181,510	139,996	193,663	394,692	360,309	312,571	387,283	129,802	165,846	120,092	108,250	53,313	49,362	49,725
Total current liabilities	US$ in thousands	1,030,620	1,087,710	982,250	894,092	921,880	817,857	831,623	833,738	873,682	850,964	835,486	834,004	822,199	801,717	723,178	665,795	666,593	634,019	548,268	581,667
Quick ratio		2.13	2.19	2.31	1.99	1.70	1.18	1.13	1.19	1.45	1.67	1.62	1.64	1.63	1.42	1.48	1.50	1.48	1.37	1.40	1.35

December 31, 2023 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($560,609K + $1,469,680K + $168,495K) ÷ $1,030,620K
= 2.13

The quick ratio of Chipotle Mexican Grill has shown a stable and healthy trend over the past eight quarters. It has consistently remained above 1, indicating that the company has an adequate level of liquid assets to cover its short-term liabilities. The quick ratio peaked at 1.55 in Q2 2023, suggesting a strong ability to meet its short-term obligations without relying heavily on inventory. Despite a slight dip in Q1 2023 to 1.37, the ratio rebounded in the following quarters. This indicates that Chipotle has been managing its current assets effectively to maintain liquidity. Overall, the trend in Chipotle's quick ratio reflects a solid financial position and efficient working capital management.